Amongst the top performing constituents of the S&P/ASX 200 (Index: ^AXTO) (ASX: XTO) this year it's interesting to note that "quality" performed particularly well.
The following four stocks all tick the "quality" box but interestingly they also tick the "defensive" and "growth" boxes too. The one box they don't really tick is "yield" which is perhaps surprising given all the talk of investors chasing yield ever since the GFC.
The share price of Ramsay Health Care Limited (ASX: RHC) has climbed 29.5% year-to-date with the private hospital operator making a significant acquisition in France which should lead to a step-change in offshore earnings in 2015.
Hearing device manufacturer Cochlear Limited (ASX: COH) has regained much of the ground lost in 2013 thanks to its share price gaining 33% in 2014. With the release of the group's Nucleus product in 2014, 2015 should see the product gain traction in major markets such as the USA and the EU.
Having cast off a small portion of its business into the demerged Orora Ltd (ASX: ORA), packaging giant Amcor Limited (ASX: AMC) has been left to focus on what it does best without any distractions. This has certainly been good for the group's share price with the stock rallying 26%.
When it comes to defensive stocks, a toll road will usually do it! Transurban Group (ASX: TCL) is also well managed and with appealing assets which makes it a high quality business as well. What's more, the company has seized opportunities to expand its portfolio of toll roads which has provided a level of growth which would otherwise be difficult to achieve. The market has obviously been pleased with Transurban's progress with shareholders sending the share price up over 28%.
The above four stocks did well for a number of reasons in 2014 and they're exactly the sort of companies which could continue to do well in 2015, particularly if the economy and wider market struggles.
